Rep. Norm Thurston — Voting Record

Bill

Number

H.B. 265 (2025GS)

Sponsor

Rep. Peterson, Karen M.

Final action

Governor Signed 3/26/2025

Outcome

Became law — signed by Gov. Spencer J. Cox

Summary

What it does

• This bill:
• defines terms;
• requires certain reporting to and a study by the Higher Education Appropriations Subcommittee;
• provides for disbursement of certain reinvestment funds that are dedicated to a given degree-granting institution for reallocation to certain strategic investments under certain circumstances;
• requires each degree-granting institution to create a strategic reinvestment plan to reallocate funding from certain programs and divisions of the institution to certain programs and divisions that merit additional investment;
• requires the Utah Board of Higher Education (board) to report to the Higher Education Appropriations Subcommittee and the Executive Appropriations Subcommittee regarding each institution's strategic reinvestment plan and execution of the plan over the upcoming three fiscal years;
• authorizes declining use of reinvestment funds to phase out reduced or eliminated programs or divisions of institutions over the upcoming three fiscal years;
• limits the number of credit hours a degree-granting institution may require between general education and degree-specific requirements;
• requires the board to develop a process to grant conditional approval of accelerated three-year degrees;
• allows the board to transfer certain appropriations as an exception to the prohibition on line-item transfers in the Budgetary Procedures Act;
• coordinates with H.B. 51, Higher Education Reporting Amendments, to address subcommittee reports; and
• makes technical and conforming changes.

Every vote on this bill

Bill text

32
53B-1-301
53B-7-107
53B-16-102
63J-1-206
HB0265
HB0051
53B-1-301
25
0
Higher Education Strategic Reinvestment
2025 GENERAL SESSION
STATE OF UTAH
Chief Sponsor: Karen M. Peterson
Senate Sponsor: Ann Millner
Cosponsor:
Jon Hawkins
David Shallenberger
Carl R. Albrecht
Michael L. Kohler
Troy Shelley
Stewart E. Barlow
Jason B. Kyle
Rex P. Shipp
Bridger Bolinder
Trevor Lee
Jordan D. Teuscher
Walt Brooks
A. Cory Maloy
R. Neil Walter
Kristen Chevrier
Logan J. Monson
Christine F. Watkins
Tyler Clancy
Clinton D. Okerlund
Douglas R. Welton
Paul A. Cutler
Michael J. Petersen
Stephen L. Whyte
Ariel Defay
Calvin Roberts
Ryan D. Wilcox
Doug Fiefia
Jake Sawyer
LONG TITLE
General Description:
This bill enacts and amends provisions regarding the strategic approach of and investment 
in certain programs in the higher education system.
Highlighted Provisions:
This bill:
defines terms;
requires certain reporting to and a study by the Higher Education Appropriations 
Subcommittee;
provides for disbursement of certain reinvestment funds that are dedicated to a given 
degree-granting institution for reallocation to certain strategic investments under certain 
circumstances;
requires each degree-granting institution to create a strategic reinvestment plan to 
reallocate funding from certain programs and divisions of the institution to certain 
programs and divisions that merit additional investment;
requires the Utah Board of Higher Education (board) to report to the Higher Education 
Appropriations Subcommittee and the Executive Appropriations Subcommittee 
regarding each institution's strategic reinvestment plan and execution of the plan over 
the upcoming three fiscal years;
authorizes declining use of reinvestment funds to phase out reduced or eliminated 
programs or divisions of institutions over the upcoming three fiscal years;
limits the number of credit hours a degree-granting institution may require between 
general education and degree-specific requirements;
requires the board to develop a process to grant conditional approval of accelerated 
three-year degrees;
allows the board to transfer certain appropriations as an exception to the prohibition on 
line-item transfers in the Budgetary Procedures Act;
coordinates with H.B. 51, Higher Education Reporting Amendments, to address 
subcommittee reports; and
makes technical and conforming changes.
Money Appropriated in this Bill:
None
Other Special Clauses:
This bill provides a special effective date.
This bill provides a coordination clause.
Utah Code Sections Affected:
AMENDS:
53B-1-301
, as last amended by Laws of Utah 2024, Chapter 3
53B-16-102
, as last amended by Laws of Utah 2024, Chapter 378
63J-1-206
, as last amended by Laws of Utah 2024, Chapter 268
ENACTS:
53B-7-107
, Utah Code Annotated 1953
Utah Code Sections Affected by Coordination Clause:
AMENDS:
53B-1-301
, as last amended by Laws of Utah 2024, Chapter 3
Be it enacted by the Legislature of the state of Utah:
Section 1, Section 
53B-1-301
 is amended to read:
53B-1-301
. Reports to and actions of the Higher Education Appropriations 
Subcommittee.
(1)
In accordance with applicable provisions and Section 
68-3-14
, the following recurring 
reports are due to the Higher Education Appropriations Subcommittee:
(a)
the reports described in Sections 
53B-1-116
, 
53B-1-117
, and 
53B-1-118
;
(b)
the reports described in Sections 
34A-2-202.5
, 
53B-30-206
, and 
59-9-102.5
 by the 
Rocky Mountain Center for Occupational and Environmental Health;
(c)
the report described in Section 
53B-7-101
 by the board on recommended 
appropriations for higher education institutions, including the report described in 
Section 
53B-8-104
 by the board on the effects of offering nonresident partial tuition 
scholarships;
(d)
the report described in Section 
53B-7-704
 by the Department of Workforce Services 
and the Governor's Office of Economic Opportunity on targeted jobs;
(e)
the reports described in Section 
53B-7-705
 by the board on performance;
(f)
the report described in Section 
53B-8-201
 by the board on the Opportunity 
Scholarship Program;
(g)
the report described in Section 
53B-8d-104
 by the Division of Child and Family 
Services on tuition waivers for wards of the state;
(h)
the report described in Section 
53B-13a-103
 by the board on the Utah Promise 
Program;
(i)
the report described in Section 
53B-17-201
 by the University of Utah regarding the 
Miners' Hospital for Disabled Miners;
(j)
the report described in Section 
53B-26-202
 by the Medical Education Council on 
projected demand for nursing professionals;
(k)
the report described in Section 
53B-35-202
 regarding the Higher Education and 
Corrections Council; and
(l)
the report described in Section 
53E-10-308
 by the State Board of Education and 
board on student participation in the concurrent enrollment program.
(2)
In accordance with applicable provisions and Section 
68-3-14
, the following occasional 
reports are due to the Higher Education Appropriations Subcommittee:
(a)
upon request, the information described in Section 
53B-8a-111
 submitted by the 
Utah Educational Savings Plan;
(b)
a proposal described in Section 
53B-26-202
 by an eligible program to respond to 
projected demand for nursing professionals; and
(c)
the board's report regarding each institution's strategic reinvestment plan described in 
Section 
53B-7-107
.
(c)
a report in 2023 from Utah Valley University and the Utah Fire Prevention Board on 
the fire and rescue training program described in Section 
53B-29-202
.
(3)
In accordance with applicable provisions, the Higher Education Appropriations 
Subcommittee shall complete the following:
(a)
an appropriation recommendation described in Section 
53B-1-118
 regarding 
compliance with Subsections 
53B-1-118
(5) and (14);
(b)
as required by Section 
53B-7-703
53B-7-706
, the review of performance funding 
described in Section 
53B-7-703
53B-7-706
;
(c)
an appropriation recommendation described in Section 
53B-26-202
 to fund a 
proposal responding to projected demand for nursing professionals; and
(d)
review of the report described in Section 
63B-10-301
 by the University of Utah on 
the status of a bond and bond payments specified in Section 
63B-10-301
.
(4)
Beginning in the 2025 legislative interim, in consultation with the board, the Higher 
Education Appropriations Subcommittee shall study a re-design of:
(a)
the performance funding model described in Chapter 7, Part 7, Performance Funding, 
to better ensure:
(i)
institutional alignment with the statewide system of higher education and the 
institution's mission within the statewide system; and
(ii)
investment in meeting localized and statewide workforce demands and securing 
post-graduation employment outcomes; and
(b)
enrollment-based funding, including, for technical colleges, funding distribution 
models that:
(i)
include equivalent funding value for secondary and adult students; and
(ii)
reflect the full responsibility of the technical college's statutorily-required 
services.
Section 2, Section 
53B-7-107
 is enacted to read:
53B-7-107
. Higher education strategic reinvestment.
(1)
As used in this section:
(a)
"Reinvestment funds" means the amount of money the Legislature appropriates to 
the board for strategic reinvestment in accordance with this section.
(b)
"Strategic reinvestment plan" means a plan described in Subsection 
(3)
 that each 
degree-granting institution develops to reallocate reinvestment funds to certain 
strategic investments.
(2)
The board may transfer to a degree-granting institution the reinvestment funds dedicated 
to the institution if:
(a)
for the 2026 fiscal year:
(i)
the respective degree-granting institution provides to the board the institution's 
strategic reinvestment plan;
(ii)
the board approves the institution's strategic reinvestment plan; and
(iii)
after receiving a report from the board regarding the strategic reinvestment plan 
in the meeting of the Executive Appropriations Committee in September 2025, the 
Executive Appropriations Committee makes a determination that the relevant 
institution's strategic reinvestment plan satisfies the requirements of this section; 
and
(b)
for each of the 2027 and 2028 fiscal years:
(i)
the respective degree-granting institution provides to the board a report on the 
institution's progress in executing the institution's strategic reinvestment plan; and
(ii)
after receiving a report from the board regarding the institution's execution of the 
strategic reinvestment plan in the meeting of the Executive Appropriations 
Committee in September of 2026 and 2027, respectively, the Executive 
Appropriations Committee makes a determination that the relevant institution has 
progressed in executing the institution's strategic reinvestment plan in accordance 
with this section.
(3)
Each degree-granting institution shall:
(a)
prepare and submit the institution's strategic reinvestment plan in accordance with 
Subsections 
(3)(b)
 and (c) based on:
(i)
demonstrated enrollment data;
(ii)
completion rate and timely completion;
(iii)
discipline-related professional outcomes, including placement, employment, 
licensure, and wage outcomes;
(iv)
current and future localized and statewide workforce demands;
(v)
program-level cost; and
(vi)
the institution's mission and role within the statewide system;
(b)
in consultation with the board, develop a strategic reinvestment plan that:
(i)
identifies programs, courses, degrees, departments, colleges, or other divisions of 
the institution, operational efficiencies, and other components of the institution's 
instruction and administrative functions, including dean positions and other 
administration positions, that merit further investment;
(ii)
identifies programs, courses, degrees, departments, colleges or other divisions of 
the institution, operational inefficiencies, and other components of the institution's 
instruction and administrative functions, including dean positions and other 
administration positions, that the institution will reduce or eliminate to shift 
resources, in an amount at least equal to the amount of reinvestment funds 
dedicated to the institution, to the strategic investments described in Subsection 
(3)(b)(i)
;
(iii)
retains a core general education curricula that enables students to acquire critical 
thinking, problem solving, citizenship, communication, and other durable skills; 
and
(iv)
includes an accounting demonstrating the reallocation of resources from the 
reduced or eliminated items described in Subsection 
(3)(b)(ii)
 to the strategic 
investments described in Subsection 
(3)(b)(i)
 in the following amounts:
(A)
for fiscal year 2026, at least 30% of the total of the reinvestment funds 
dedicated to the institution;
(B)
for fiscal year 2027, at least 70% of the total of the amount of reinvestment 
funds dedicated to the institution; and
(C)
for fiscal year 2028, 100% of the total of the reinvestment funds dedicated to 
the institution; and
(c)
before a date that the board identifies in each of 2026 and 2027, submit to the board a 
report on the institution's progress in executing the institution's strategic reinvestment 
plan, which may include modifications to the plan if the modified plan meets the 
requirements of this section.
(4)
The board shall:
(a)
during the 2025 fiscal year:
(i)
establish standards for the reallocations described in the strategic reinvestment 
plans; and
(ii)
provide guidance to the institutions of higher education on metrics and evaluative 
processes for the institutions to use in analyzing programs and budgets to develop 
the strategic reinvestment plan;
(b)
review each institution's strategic reinvestment plan and approve plans that meet the 
requirements of this section; and
(c)
report on each institution's strategic reinvestment plan to:
(i)
in August of 2025, 2026, and 2027, the Higher Education Appropriations 
Subcommittee; and
(ii)
in September of 2025, 2026, and 2027, the Executive Appropriations Committee.
(5)
(a)
Each year, after receiving the board report described in Subsection 
(4)(c)(i)
, the 
Higher Education Appropriations Subcommittee shall make a recommendation to the 
Executive Appropriations Committee regarding each institution's strategic 
reinvestment plan and compliance with this section.
(b)
Each year, after receiving the board report described in Subsection 
(4)(c)(ii)
, the 
Executive Appropriations Committee shall make a determination, for each institution 
individually, regarding:
(i)
for fiscal year 2026, whether the institution's strategic reinvestment plan satisfies 
the requirements of this section; and
(ii)
for each of fiscal years 2027 and 2028, whether the institution has progressed in 
executing the institution's strategic reinvestment plan in accordance with this 
section.
(6)
(a)
A degree-granting institution may use reinvestment funds:
(i)
for the strategic investments described in Subsection 
(3)(b)(i)
; and
(ii)
for the reduced or eliminated items described in Subsection 
(3)(b)(ii)
 in the 
following amounts:
(A)
for fiscal year 2026, no more than 70% of the total of the reinvestment funds 
dedicated to the institution; and
(B)
for fiscal year 2027, no more than 30% of the total of the reinvestment funds 
dedicated to the institution.
(b)
A degree-granting institution may not supplant or supplement the cost of a reduced 
or eliminated item described in Subsection 
(3)(b)(ii)
:
(i)
through a tuition increase; or
(ii)
with any state funds, except in fiscal year 2028, to the extent necessary to allow a 
student to complete the student's academic program as outlined in the institution's 
approved strategic reinvestment plan.
(7)
If a degree-granting institution fails to reallocate resources in accordance with the 
institution's reinvestment plan and this section, in preparing the higher education budgets 
immediately following the institution's failure, the Executive Appropriations Committee 
shall reduce appropriations for the institution's instruction and administration in an 
amount equal to the amount the institution failed to properly reallocate.
(8)
(a)
Each degree-granting institution shall:
(i)
establish policies specifically to effectuate the strategic reinvestment plan, and that 
address the following:
(A)
reduction or elimination of positions and other personnel decisions; and
(B)
internal institutional procedures regarding the reduction, elimination, creation, 
or modification of programs, courses, degrees, departments, colleges, or other 
divisions of the institution;
(ii)
ensure that the policies described in this Subsection (8)(a):
(A)
create operational efficiencies in carrying out the strategic reinvestment plan;
(B)
assist the institution to meet the timeframes described in this section and the 
strategic reinvestment plan; and
(C)
are consistent with the guidance the board provides in accordance with 
Subsection (4)(a); and
(iii)
prepare the policies described in this Subsection (8)(a) in consultation with the 
board.
(b)
An institution's policies described in Subsection (8)(a) may supersede the following 
that are inconsistent with the strategic reinvestment plan or the goals of the plan:
(i)
an existing policy, procedure, or timeframe of the institution; and
(ii)
a board policy, if the board determines that superseding the policy is necessary or 
appropriate.
(c)
Notwithstanding any other provision of this title, an institution may act in accordance 
with the policies described in this Subsection (8).
Section 3, Section 
53B-16-102
 is amended to read:
53B-16-102
. Changes in curriculum -- Substantial alterations in institutional 
operations -- Program approval -- Periodic review of programs -- Career and technical 
education curriculum changes.
(1)
As used in this section:
(a)
"Institution of higher education" means an institution described in Section 
53B-1-102
.
(b)
"Program of instruction" means a program of curriculum that leads to the completion 
of a degree, diploma, certificate, or other credential.
(2)
(a)
Under procedures and policies approved by the board and developed in 
consultation with each institution of higher education, each institution of higher 
education may make such changes in the institution of higher education's curriculum 
as necessary to better effectuate the institution of higher education's primary role; and
(b)
subject to Subsection (2)(a), an institution of higher education's faculty shall 
establish and have primary responsibility for the curriculum of a course within a 
program of instruction at the institution.
(3)
The board shall establish criteria for whether an institution of higher education may 
approve a new program of instruction, including criteria related to whether:
(a)
the program of instruction meets identified workforce needs;
(b)
the institution of higher education is maximizing collaboration with other institutions 
of higher education to provide for efficiency in offering the program of instruction;
(c)
the new program of instruction is within the institution of higher education's mission 
and role; and
(d)
the new program of instruction meets other criteria determined by the board.
(4)
(a)
Except as board policy permits, an institution of higher education may not 
establish a branch, extension center, college, or professional school.
(b)
The president of an institution of higher education may, with the approval of the 
institution of higher education's board of trustees, establish a new program of 
instruction that meets the criteria described in Subsection (3), subject to board review 
for pathway articulation.
(5)
(c)
(a)
An institution of higher education shall notify the board of a proposed new 
program of instruction, including how the proposed new program of instruction 
meets the criteria described in Subsection (3).
(b)
(d)
The board shall establish procedures and guidelines for institutional boards of 
trustees to consider an institutional proposal for a new program of instruction 
described in Subsection (4)(b).
(5)
(a)
(i)
Except as provided in Subsection (5)(a)(ii), a degree-granting institution may 
not offer a degree with a credit-hour requirement, comprising general education 
and degree-specific requirements, that exceeds 120 total credit hours.
(ii)
The board may authorize a degree-granting institution to exceed the credit-hour 
limit described in Subsection (5)(a)(i) if the relevant degree:
(A)
is required for professional licensure; or
(B)
has a nationally recognized accreditation standard that mandates a higher 
credit-hour minimum, including circumstances where additional coursework is 
necessary to protect public health, safety, and welfare.
(b)
The board shall develop a process to grant conditional approval of accelerated 
three-year degrees to allow for the implementation of an accelerated degree upon 
accreditation.
(6)
The president of an institution of higher education may discontinue a program of 
instruction in accordance with criteria that the president and the institution of higher 
education's board of trustees establish.
(7)
(a)
The board shall conduct a periodic review of all new programs of instruction, 
including those funded by gifts, grants, and contracts, no later than two years after the 
first cohort to begin the program of instruction completes the program of instruction.
(b)
The board may conduct a periodic review of any program of instruction at an 
institution of higher education, including a program of instruction funded by a gift, 
grant, or contract.
(c)
The board shall conduct:
(i)
at least once every 
seven
five
 years, at least one review described in Subsection 
(7)(b) of each program of instruction at each institution; and
(ii)
annually, a qualitative and quantitative review of academic disciplines across the 
system, including enrollment, graduation rates, and workforce placement, 
ensuring that the board conducts a review of all disciplines within the system at 
least once every 
seven
five
 years.
(d)
Following a review described in this Subsection (7) 
that finds that a program is 
underperforming, as the board defines, across the system of higher education or at an 
individual institution, 
and after providing the relevant institution of higher education 
an opportunity to respond to the board's review of a given program of instruction, the 
board
 may
:
(i)
shall
 modify, consolidate, or terminate the program of instruction
.
; and
(ii)
may require an institution to develop a performance improvement plan and 
annually report back to the board regarding the plan.
(e)
The board shall:
(i)
develop qualitative and quantitative standards for program review under this 
Subsection 
(7)
; and
(ii)
ensure the application of the standards the board develops under Subsection 
(7)(e)(i)
 in each program review.
(8)
In making decisions related to career and technical education curriculum changes, the 
board shall coordinate on behalf of the boards of trustees of higher education institutions 
a review of the proposed changes by the State Board of Education to ensure an orderly 
and systematic career and technical education curriculum that eliminates overlap and 
duplication of course work with high schools and technical colleges.
(9)
The board shall demonstrate compliance with Subsection (7) by:
(a)
creating a list of programs and corresponding review schedules;
(b)
upon request of the Higher Education Appropriations Subcommittee, providing the 
list described in Subsection (9)(a); and
(c)
providing a written report on or before October 1 to the Higher Education 
Appropriations Subcommittee of each year regarding relevant findings from the 
reviews conducted under Subsection (7).
(10)
On or before October 1, 2026, if the Higher Education Appropriations Subcommittee 
finds the board to be out of compliance with Subsection (9), the Legislature shall:
(a)
deduct 10% of the appropriation described in Section 
53B-7-703
 for the following 
fiscal year; and
(b)
deduct an additional 10% of the appropriation described in Section 
53B-7-703
 for 
each subsequent year of noncompliance up to a maximum deduction of 30%.
Section 4, Section 
63J-1-206
 is amended to read:
63J-1-206
. Appropriations governed by chapter -- Restrictions on expenditures 
-- Transfer of funds -- Exclusion.
(1)
(a)
Except as provided in Subsections (1)(b) and (2)(e), or where expressly exempted 
in the appropriating act:
(i)
all money appropriated by the Legislature is appropriated upon the terms and 
conditions set forth in this chapter; and
(ii)
any department, agency, or institution that accepts money appropriated by the 
Legislature does so subject to the requirements of this chapter.
(b)
This section does not apply to:
(i)
the Legislature and its committees; and
(ii)
the Investigation Account of the Water Resources Construction Fund, which is 
governed by Section 
73-10-8
.
(2)
(a)
Each item of appropriation is to be expended subject to any schedule of programs 
and any restriction attached to the item of appropriation, as designated by the 
Legislature.
(b)
Each schedule of programs or restriction attached to an appropriation item:
(i)
is a restriction or limitation upon the expenditure of the respective appropriation 
made;
(ii)
does not itself appropriate any money; and
(iii)
is not itself an item of appropriation.
(c)
(i)
An appropriation or any surplus of any appropriation may not be diverted from 
any department, agency, institution, division, or line item to any other department, 
agency, institution, division, or line item.
(ii)
If the money appropriated to an agency to pay lease payments under the program 
established in Section 
63A-5b-703
 exceeds the amount required for the agency's 
lease payments to the Division of Facilities Construction and Management, the 
agency may:
(A)
transfer money from the lease payments line item to other line items within 
the agency; and
(B)
retain and use the excess money for other purposes.
(d)
The money appropriated subject to a schedule of programs or restriction may be used 
only for the purposes authorized.
(e)
In order for a department, agency, or institution to transfer money appropriated to it 
from one program to another program, the department, agency, or institution shall 
revise its budget execution plan as provided in Section 
63J-1-209
.
(f)
(i)
The procedures for transferring money between programs within a line item as 
provided by Subsection (2)(e) do not apply to money appropriated to the State 
Board of Education for the Minimum School Program or capital outlay programs 
created in Title 53F, Chapter 3, State Funding -- Capital Outlay Programs.
(ii)
The state superintendent may transfer money appropriated for the programs 
specified in Subsection (2)(f)(i) only as provided by Section 
53F-2-205
.
(3)
Notwithstanding Subsection (2)(c)(i):
(a)
the state superintendent may transfer money appropriated for the Minimum School 
Program between line items in accordance with Section 
53F-2-205
;
 and
(b)
the Utah Board of Higher Education may transfer reinvestment funds, as defined in 
Section 
53B-7-107
, to a degree-granting institution, in accordance with the process 
described in Section 
53B-7-107
; and
(b)
(c)
the Department of Government Operations may transfer money appropriated to 
another department, agency, institution, or division for the purpose of paying the 
costs of pay for performance under Section 
63A-17-112
.
Section 5. 
Effective Date.
This bill takes effect:
(1)
except as provided in Subsection (2), May 7, 2025; or
(2)
if approved by two-thirds of all members elected to each house:
(a)
upon approval by the governor;
(b)
without the governor's signature, the day following the constitutional time limit of 
Utah Constitution, Article VII, Section 8; or
(c)
in the case of a veto, the date of veto override.
Section 6. 
Coordinating H.B. 265 with H.B. 51.
If H.B. 265, Higher Education Strategic Reinvestment, and H.B. 51, Higher Education 
Reporting Amendments, both pass and become law, the Legislature intends that, on May 7, 
2025, Subsection 
53B-1-301(2)
 be amended to read:
"
(2) In accordance with applicable provisions and Section 
68-3-14
, the following 
occasional 
reports are
report is
 due to the Higher Education Appropriations Subcommittee:
the board's report regarding each institution's strategic reinvestment plan described in Section 
53B-7-107
.
(a) upon request, the information described in Section 53B-8a-111 submitted by the Utah 
Educational Savings Plan;
(b) a proposal described in Section 53B-26-202 by an eligible program to respond to 
projected demand for nursing professionals; and
(c) a report in 2023 from Utah Valley University and the Utah Fire Prevention Board on 
the fire and rescue training program described in Section 53B-29-202.
".
3-11-25 3:14 PM